- (a) Prior to the commencement of residential home building by a residential home builder, the residential home builder shall disclose in writing to the homeowner whether the residential home builder has obtained and is currently maintaining liability insurance. The written disclosure requirement may be satisfied with an incorporated provision in the original contract or as a separate addendum.
(b)
- (1) If the disclosure is that the residential home builder has obtained and is currently maintaining liability insurance, the incorporated provision may be signed or initialed, electronically or otherwise, by the residential home builder and the homeowner without the signature of a witness.
- (2) If the disclosure is that the residential home builder has not obtained or does not currently maintain liability insurance, the written disclosure shall be signed by the residential home builder and the homeowner, and attested by one witness selected by the homeowner.
- (c) Failure of a residential home builder to comply with this section is a violation of this chapter and punishable by the board pursuant to Section 34-14A-8.
(Act 2018-398, §1; Act 2026-320, §1.)